DETROIT – A Stellantis joint venture with Samsung SDI has secured a commitment from the U.S. government for a loan of up to $7.54 billion to help build two electric vehicle battery factories in Kokomo, Indiana.

The project built by StarPlus Energy LLC is expected to create at least 2,800 jobs at the factories and hundreds more at a nearby park for parts supply companies, the Energy Department said in a statement Monday.

The loan has yet to be finalized, but the government said the commitment shows its intention to finance the project. To get the loan, StarPlus must develop a plan to engage with community and labor leaders to create good-paying jobs. It must also meet technical, legal, environmental and financial conditions before the government funds the loan.

It is not yet clear whether the loan will be finalized before President-elect Donald Trump takes office on January 20. On the electoral campaign trail, Trump committed to ending funding for such projects, which he called a “new green scam.” A message was left Monday seeking comment from the Trump transition team.

The Energy Ministry did not directly answer a question about whether the loan would be funded before the inauguration, but said it would be irresponsible for “any government to turn its back on sector partners private sector, states and communities that benefit from energy reduction. costs and new economic opportunities” from loans.

The factories would make battery cells and modules for electric vehicles for sale in North America, the ministry said. At full capacity, the factories will produce enough batteries to power around 670,000 vehicles per year.

“This will significantly increase electric vehicle battery manufacturing capacity in North America and reduce America’s dependence on foreign adversaries like China,” the statement said.

If finalized, Stellantis would theoretically receive $6.85 billion plus $688 million in interest for the project.

End of last month, electric vehicle manufacturer Rivian Automotive secured a $6.6 billion loan to build a factory in Georgia that has stalled as the startup struggles to turn a profit.

The loan announcement arrives one day after Stellantis confirmation that CEO Carlos Tavares is stepping down after nearly four years at the helm of the automaker that owns brands including Jeep, Ram, Citroën and Peugeot. The world’s fourth-largest automaker announced that its board of directors had accepted Tavares’ resignation on Sunday, effective immediately, amid a continued struggle against falling sales.

The company says a new interim executive committee, led by Chairman John Elkann, will be created while the search for a CEO is underway.